Mackenzie Smith

The Thistleblower


The market comment has been very much dominated by the Government’s ‘Help to Buy’ scheme which has been brought forward to enable buyers to purchase property with a 5% deposit. There is no doubt that this has continued to drive a market that had already seen considerable sales activity during August and September.

Our own research on web traffic shows a significant increase in the number of hits to our own website. The supply of property (or lack of) continues to cause difficulty for purchasers and this has not improved but tightened in the last few months. My own view is that although there are benefits to the ‘Help to Buy’ scheme there are other issues affecting the market.

One of the fundamental problems is Stamp Duty. This was raised during the last property boom and not in my view challenged enough. This cost needs to be addressed as in many cases represents a considerable percentage of the costs of moving.

I have just carried out some quick calculations and based on a range of examples the Stamp Duty Tax comes out at 70% of the total cost of moving. Even at the entry level for a first time buyer it’s about 55%. Most people see this as ‘dead money’ and choose to stay put and extend. That way they know they are at least getting some return on what they spend. This is one example of what is causing a lack of supply and needs to be addressed.

Ed Mackenzie Smith, Managing Director


Award Winning Elmcote

Early Doors on Help to Buy. Is it a good idea?

Last New Home in Mytchett

Values and Sales Strong in Hook Area

Last Four Bedroom Home at Central Fleet Development

Open House at a Stunning Period Home in Tongham

Charming Hartley Wintney Cottage Sells in a Matter of Hours

View From The Office Floor – Ash Vale

Five Bedroom Family Home for Rent in Hook

Good News for Landlords

Substantial 1920’s Home in Ash Vale

Hartley Wintney Welcomes Greg Rowse

Other Newsletters:
Categories:

<< News
Powered By: BriefYourMarket.com Mackenzie Smith